According to reports, the US department of justice has issued a warning notice to Dr Reddy's. It states that the company's packaging is in violation of the consumer product safety act (CPSA) involving child resistant packaging regulations. However, the company has denied the consumer product safety commission's (CPSC) allegations in the US securities and exchange commission (SEC) filing.

The filing said, "The company disagrees with the CPSC's allegations and is engaged in discussions with them regarding its compliance with the regulations. Simultaneously, the department of justice (DOJ) is also currently investigating a complaint related to these issues under the federal false claims act."

In a letter issued to the company, the CPSC alleged that it has violated the consumer product safety act (CPSA) and the poison prevention packaging act (PPPA), and intends to seek civil penalties. It also said that the company has failed to issue general certificates of conformance.

In addition, the CPSC has claimed that the company has violated the CPSA by failing to immediately advise the commission of the alleged violations.